Companies act 2006: the impact on directors - update

July 2007

Companies act 2006: the impact on directors - update

Summary

This briefing provides a guide to the key changes affecting directors in the Companies Act 2006 and it updates our February 2007 briefing on this topic.

Key reforms include:

a statutory statement of directors’ general duties, including the introduction of a new duty to promote the success of the company
an extended power for shareholders to sue directors for negligence and other defaults.

Both of these will come into force on 1 October 2007. We provide practical guidance below on how directors can comply with their duties under the Act.

Next section: Introduction

Disclaimer

This publication is written as a general guide only. It is not intended to contain definitive legal advice which should be sought as appropriate in relation to a particular matter.
Extracts may be copied provided their source is acknowledged.

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